The sectors that saw the highest and lowest salary increases in Viet Nam this year, according to Talentnet – Mercer’s annual survey. — VNS Photo

The technology, life sciences and chemical industries have seen the highest salary increases this year, according to Talentnet – Mercer’s annual survey.

They rose by 9.7 per cent, 9.1 per cent and 9 per cent respectively.

The oil and mining sectors had the lowest increases.

Speaking at a seminar held in HCM City last week to release the survey results, Hoa Nguyen, director of Mercer Salary Survey and HR Consulting at Talentnet, said the overall salary increase this year is 8.6 per cent at multinational companies and 9 per cent at local businesses, almost the same as last year.

But the increases are higher than Viet Nam’s inflation and GDP growth rates, she said.

In terms of bonuses, the financial services sector comprising non-banking, banking and insurance firms paid the highest growth rates of 21 – 25.2 per cent.

Retail, logistics and education had the lowest rates of bonus increases: 13.6 per cent, 13.2 per cent and 9 per cent.

At multinational companies, the three most difficult positions in which to attract and retain talent are sales (at both managerial and professional levels) and engineering (professional).

The consistent presence of engineering over the past couple years demonstrates Viet Nam’s increased investments in technical and specialised fields.

Within the technology sector, engineering positions, especially software engineers, are in high demand, and businesses are willing to offer very attractive rates to hire talent.

A total of 602 multinationals and local companies in 16 sectors with more than 314,000 employees took part in the survey, considered the largest and most comprehensive in Viet Nam.

Hoa said: “This year, nearly 40 per cent of participating businesses were new to the Total Remuneration Survey. This demonstrates the determination and desire of local businesses to build a more professional workplace with more focus on talent attraction and retention strategies to compete with multinational corporates.

“Businesses are gradually coming to understand that salary and bonuses are simply the ‘bait’ and the true ‘fishing rod’ is professionalism and a solid, equitable business structure, not only for attracting talent but also investors.” — VNS